https://www.techpowerup.com/270742/apple-says-cloud-gaming-services-like-google-stadia-and-microsoft-xcloud-violate-app-store-guidelines

"Cloud gaming is the next step in mobile gaming, with services like Microsoft project xCloud aiming to bring AAA titles right to your mobile phone. Microsoft has already been testing its xCloud application on Android and iOS devices for some time, and the application was supposed to launch sometime in September. However, it seems like Microsoft is only going to serve the customers on Android, as Apple says that these types of applications violate App Store guidelines. This doesn't only apply to xCloud, but also Google's Stadia gaming platform. When developer uploads application to App Store for iOS, the application goes through a review by Apple, for security reason and for Apple to check if it meets its guidelines.

Being that xCloud and Stadia are types of applications which offer a way to access many more applications (games in this case), this is against Apple's policy as they can't control the applications these services offer."

official statement from Apple:

"The App Store was created to be a safe and trusted place for customers to discover and download apps, and a great business opportunity for all developers. Before they go on our store, all apps are reviewed against the same set of guidelines that are intended to protect customers and provide a fair and level playing field to developers.

Our customers enjoy great apps and games from millions of developers, and gaming services can absolutely launch on the App Store as long as they follow the same set of guidelines applicable to all developers, including submitting games individually for review, and appearing in charts and search. In addition to the App Store, developers can choose to reach all iPhone and iPad users over the web through Safari and other browsers on the App Store."   - Apple.

Microsoft's response:

"Our testing period for the Project xCloud preview app for iOS has expired. Unfortunately, we do not have a path to bring our vision of cloud gaming with Xbox Game Pass Ultimate to gamers on iOS via the Apple App Store. Apple stands alone as the only general purpose platform to deny consumers from cloud gaming and game subscription services like Xbox Game Pass. And it consistently treats gaming apps differently, applying more lenient rules to non-gaming apps even when they include interactive content. All games available in the Xbox Game Pass catalog are rated for content by independent industry ratings bodies such as the ESRB and regional equivalents. We are committed to finding a path to bring cloud gaming with Xbox Game Pass Ultimate to the iOS platform. We believe that the customer should be at the heart of the gaming experience and gamers tell us they want to play, connect and share anywhere, no matter where they are. We agree." - MS

I'm not surprised.
Apple makes a fortune off of being a walled garden.

Thoughts? time to change to a Android phone?

if google is smart they will allow xcloud in the play store instead of the bypass done via the samsung store

So basically Apple says it violates their rule of not receiving revenue from the additional sales right?

Reasons why I continue to be an Android user... If Google pulls something like this, I can side load apps all day long without needing to root/jailbreak.

Yep, very easy to download from mirror and even "unsafe" apps if you want.

As far as I can tell, it's due to the fact that Apple can't gatekeep the games that are on Xcloud and Stadia and deny games that don't follow their guidelines. Least that's their excuse anyway...

which is a bad excuse since all those games are rated by most if not all countries regulatory agencies anyway

And then it really falls apart when you realize iOS has Netflix, Youtube and Spotify which they can't curate those either. If anything, they are doing this due to Apple Arcade since xCloud could persuade Apple Arcade users to use xCloud instead as they are both subscription services but the games on xCloud are leagues better.

Weak excuse. Certainly the quality of the games on XCloud is leagues better than the average Apple approve on their service.

The rules seemingly only apply to games and apps. Like, it's okay to use an app as a method to deliver music and movies, but not the apps or games. Also, as far as I know, you can't subscribe to Spotify through iOS app, because Spotify doesn't want to pay Apple 30%.